Vodafone memo highlights FDI dilemma

Vodafone's four-page missive sent to the European Commission and senior Polish officials underscores the fears of foreign investors when they step foot in Poland - especially when they have already invested millions of złoty here. The letter, besides specifically pointing out four areas of contention, concerns the draft telecoms law and generally highlights the dire position of the country's law making body - something that has received negative attention in both Warsaw and Brussels. "As we all know, this is very important from the point of view of making long-term investment in the new technologies sector," says Elżbieta Sadowska, spokeswoman for Polkomtel, the operator of the Plus GSM brand. Vodafone owns a 19.6 percent stake in the firm and has expressed interest that, along with TeleDanmark (also an owner of 19.6 percent), it would like to gain majority control of the nation's number three operator. The UK-based operator had this stake in mind when it sent the letter late last Wednesday, stating: "Vodafone would like to express its utmost concern regarding development in Poland concerning the regulation of the electronic communications sector."